Difference between Spread betting and CFDs

0FXTrader0

Established member
552 86
Its fair to say that its as rare as rocking horse shit that a SB gets taxed but all the profitable traders will choose alternatives because the SB spreads are wider the liquidity not as good, trades are not anonymous there bucketed and the counterparty risk.
 

new_trader

Legendary member
6,664 1,489
All the examples you provide seem to mention 'sole source of income' or 'subsistence' as a criteria for paying tax. Yet I can't find that anywhere in the tax manual. I get the impression it is just assumed by those writing the articles that if you are making a living from your income it must surely be taxable. This is not the case as far as I can tell.

 
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MasterOfCoin

Experienced member
1,228 477
What I have most enjoyed about this thread is that every single argument, link and piece of 'evidence' posted by 0FXTrader0 in support of the stance that SB is Taxable has in fact done just the opposite and reinforced what everybody else has been pointing out all along. It's not.



🌎


# Flat-Earthers may be liable to tax in the jurisdiction of their current residence and should seek professional advice.

😁
 

0FXTrader0

Established member
552 86
A trader’s operations that cannot be regarded either, as operations of his ordinary business or as ancillary to it, should be considered independently in the light of the principles indicated in BIM20050 onwards.

If they amount to the carrying on of a trade (or produce liability as miscellaneous income) and they have some connections with the operations of the trader’s ordinary business, they may in practice be merged with it.


...So if your ordinary business is trading day in day out you bets fall into your business
 

0FXTrader0

Established member
552 86
New ticket opened on the HMRC forums; lets find out the answer
 
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MasterOfCoin

Experienced member
1,228 477
A trader’s operations that cannot be regarded either, as operations of his ordinary business or as ancillary to it, should be considered independently in the light of the principles indicated in BIM20050 onwards.

If they amount to the carrying on of a trade (or produce liability as miscellaneous income) and they have some connections with the operations of the trader’s ordinary business, they may in practice be merged with it.


...So if your ordinary business is trading day in day out you bets fall into your business
Yes, it says the prima facie presumption would be that an individual engaged in spread betting is not carrying on a trade and is therefore not generating a business income from that activity.

Another own-goal by 0FXTrader0 !

Keep it up.

😁
 

0FXTrader0

Established member
552 86
OFX I think it's time for you to come clean and declare the motivations behind your posts, because at the moment there is no progression and the conversation is going round in circles
I about to pull the trigger on a Darwin which if people invested in would be taxed and as a CFD account would also be taxed. If I can confirm that trading full time and only source of income spread betting is not taxable. I will reopen spread bet account.
 
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tomorton

Legendary member
8,326 1,314
I about to pull the trigger on a Darwin which if people invested in would be taxed and as a CFD account would also be taxed. If I can confirm that trading full time and only source of income spread betting is not taxable. I will reopen spread bet account.
For two periods of several years each I have experienced zero conventional income but have continued spreadbetting through both. At no point was I advised by the SB firms (whom I informed of my absence of other income) nor contacted by HMRC with regards to taxation on SB gains.

I had already previously asked my then accountants if I could be classed as a professional trader and would therefore become liable for taxation but would receive allowance on losses - their reply was basically good luck with that mate. They saw no chance the HMRC would agree and they certainly weren't going to take the case for me - as it would fail.
 

0FXTrader0

Established member
552 86
yeah I put that HMRC post on there...I now an official SB pikey
 
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G

Guest36985

0 0
yeah I put that HMRC post on there...I now an official SB pikey
Welcome to the club.
All you need to do now is choose your caravan.
pik.png
 
 
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